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General Asylum General audio topics that don't fit into specific categories. |
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General Asylum General audio topics that don't fit into specific categories. |
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In Reply to: Dumbest remark of the week from an audio dealer posted by rossini61 on October 22, 2017 at 11:49:53:
We are only getting one side of the conversation between the Dealer and the OP. It would be interesting to hear the dealer's side of the conversation. No doubt the OP wanted a discount on the item he wanted to buy. On a five-figure item it's hard to believe the dealer would not give the OP a 10% maybe a 15% discount. Of course that would depend on how the OP was paying for the "five-figure item". Master Card or Visa Card? Or American Express? It also might depend on whether the "five-figure item" was a stock item the dealer had in the store or an item that needed to be ordered.As for the 40% margin the OP mentioned, again it would be nice to know the full context of the conversation between the dealer and the OP. Like who first brought the 40% mark-up above cost figure? Hard to believe the dealer would just through it out in the conversation.
Most high-end equipment a dealer pays 60% of the MSRP plus shipping cost.
The Dealer makes a 40% profit? WOW!
NO.
- shipping cost.
- overhead.Overhead?
- Rent on the building
- Utilities
- Insurance
- Phone service/Yellow page ad
- Advertising
- Employee/s salary
- Employee matching SS, Medicare, payroll taxes.
- Employee Workman Comp insurance.
- Any Employee health insurance assistance?
- Interest paid on "line of credit" to the bank if used to buy inventory.
- Company installation/service van? Vehicle operating costs? Insurance?
- Dealer's pay check. Notice the dealer's pay check is at the bottom of the list. He is the last to be paid.
__Profit? 40%?
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- RE: Dumbest remark of the week from an audio dealer - jea48 10/23/1707:57:01 10/23/17 (0)
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